File-sharing damages drastically reduced

A U.S. District Court judge has reduced by 90 percent the damages that must be paid by a graduate student accused of using file-sharing software to download and distribute 30 copyrighted songs.

A jury awarded $675,000 to the record companies involved, but Judge Nancy Gertner found that sum so excessive as to be a due process violation, and awarded $67,500 instead.

“[T]his reduced award … sends a strong message that those who exploit peer-to-peer networks to unlawfully download and distribute copyrighted works run the risk of incurring substantial damages awards,” Gertner stated.

“Reducing the jury’s $675,000 award, however, also sends another no less important message: The Due Process Clause does not merely protect large corporations, like BMW and State Farm, from grossly excessive punitive awards. It also protects ordinary people like Joel Tenenbaum,” Gertner said.

The 64-page decision is Sony BMG Music Entertainment, et al. v. Tenenbaum, Lawyers Weekly No. 02-146-10. The full text of the ruling can be found by clicking here.